Ahh I have done something stupid

DisneyLisa

So last week I went to view a repossessed property and decided to put a bid in immediately. I had read the home report and was sure it was valued at 90k so went in at 85k. However I have just realised I read it wrong and it was valued at 80k.

I cant believe it was value so low - one in the same street with less beds sold for 95 in under 48 hours on the market. That home report was valued at 100k.

The closing date is tomorrow - is there anything I can do if our bid is accepted to get the valuation up? We dont have an extra 5k to put into the deal.

Its in Scotland btw

davidmcn

Not really (other than getting your own valuation and hoping that it's higher - but you don't have time to do that before the closing date anyway). You can always change your offer before the closing time if you want to lower the price.

DisneyLisa

Oh no....I just want to cry. This is the perfect house for us and its way undervalued.

cahillg81

If you have submitted the offer in writing in Scotland that offer is binding.

DisneyLisa

cahillg81 wrote: »

If you have submitted the offer in writing in Scotland that offer is binding.

I am aware of that, thanks.

I will speak to my solicitor in the morning as the 85k was our initial bid before the closing date was announced.

Thrugelmir

DisneyLisa wrote: »

Oh no....I just want to cry. This is the perfect house for us and its way undervalued.

Price maybe pitched to attract interest. As a repossession best price has to achieved on behalf of the debtor.

AnotherJoe

Can someone explain why an arbitrary valuation makes any difference ? I know it's Scotland but surely all that matters is the price that people are willing to pay and thus what the bids are. Why has the OP made a mistake ?

Trying_to_be_good

The valuation is relevant for any mortgage.

davidmcn

cahillg81 wrote: »

If you have submitted the offer in writing in Scotland that offer is binding.

...except the offer is almost certainly conditional on the OP getting a mortgage offer acceptable to them (which it doesn't sound like they will), so even if they are the successful bidder they're still in control of whether there is a binding (and unconditional) contract.

AnotherJoe

Trying_to_be_good wrote: »

The valuation is relevant for any mortgage.

Wont the lender do their own valuation ? Will they really rely on one put forward as what is effectively an auction guide price ?

davidmcn

AnotherJoe wrote: »

Wont the lender do their own valuation ? Will they really rely on one put forward as what is effectively an auction guide price ?

Do you understand the home report system? It includes a valuation by an RICS surveyor, who will in the majority of cases be on the purchaser's lender's panel and be able to provide a transcript. The whole point is there won't be surprises or delay by having to get another survey done.